Portillo's Inc. (PTLO) vs Red Robin Gourmet Burgers, Inc. (RRGB)

Portillo's Inc. and Red Robin Gourmet Burgers, Inc. are both Restaurants companies. Portillo's Inc. is the larger, with a market value of $363.8M against $172.8M — 2.1× the size. Red Robin Gourmet Burgers, Inc. has negative trailing earnings, so its P/E is not meaningful; Portillo's Inc. trades at 24.6×. Portillo's Inc. grew revenue faster over the last twelve months: 2.89% against −3.71%. Portillo's Inc. has the higher net margin (1.85% vs −2.55%) and the higher return on invested capital (2.91% vs −10.8%). Across the 18 metrics below, Red Robin Gourmet Burgers, Inc. leads on 10 and Portillo's Inc. on 8.

Valuation

Metric PTLO RRGB Restaurants median
P/E 24.58 n/m 24.26
P/S 0.45 0.14 0.92
P/B 0.66 n/m 2.01
Price to free cash flow n/m 44.83 20.49
EV/EBITDA 8.48 6.13 11.76
EV/Sales 0.75 0.25 1.24
Earnings yield 4.07% (19.18%) 2.07%
Free cash flow yield (2.71%) 2.23% 3.58%

Profitability

Metric PTLO RRGB Restaurants median
Gross margin 65.31% 14.50% 38.77%
Operating margin 4.55% (0.37%) 4.30%
Net margin 1.85% (2.55%) 1.85%
Free cash flow margin (1.22%) 0.31% 3.12%
Return on equity 2.78% 32.91% 3.72%
Return on assets 0.87% (5.44%) 1.50%
Return on invested capital 2.91% (10.78%) 3.14%

Growth

Metric PTLO RRGB Restaurants median
Revenue growth (TTM) 2.89% (3.71%) 5.66%
EPS growth (last fiscal year) (41.30%) 73.43% (7.75%)
Revenue growth, 5-year CAGR 9.96% 6.86% 10.57%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PTLO RRGB Restaurants median
Debt to equity 0.47 (1.55) 0.10
Current ratio 0.26 0.71 0.77
Net debt to EBITDA 3.05 2.34 0.43

Dividend

Metric PTLO RRGB Restaurants median
Dividend yield — — 1.97%
Payout ratio — — 0.42

Size

Metric PTLO RRGB Restaurants median
Market cap 363.77m 172.78m 493.91m

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